The Dairy Forward Pricing Program (DFPP) has been reauthorized to allow milk handlers to form new contracts with producers until September 30, 2025, due to the American Relief Act, 2025. These contracts are a way for milk producers to get paid a negotiated price instead of the standard price set by federal orders. However, new contracts cannot go beyond September 30, 2028. Participation in this program is voluntary, and handlers cannot force producers to take part in these contracts.
Simple Explanation
The Dairy Forward Pricing Program lets people who buy milk make special deals with farmers on how much they'll pay for milk until September 2025, and these deals last until September 2028. This helps farmers and buyers agree on prices ahead of time, but it's important for everyone to agree to join in these deals.